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ISLAMABAD: A World Bank report warns that Pakistan’s external sector situation could become unsustainable due to a lack of policy actions. The report, however, appears to exaggerate the problem due to the claim that Islamabad needs $31 billion this year to meet foreign financial obligations.

In its twice-a-year South Asia Economic Focus (SAEF) report, released on Monday, the bank said that external account pressure has persisted in the fiscal year 2017-18. “The current external situation can become unsustainable in absence of adequate policy response,” warned the global lender.

It added that the official foreign currency reserve coverage for current account deficit, external debt payments, and portfolio investment has also declined. One year ago, Pakistan was in a comfortable position, as international reserves were large enough to cover the current account deficit, the service of external debt, and even the total volume of foreign portfolio investments in the country, according to the report.

The report said that international reserves can still cover the current account deficit and external debt payments, but not liabilities of foreign portfolio investment. It added that addressing the sources of this increased vulnerability should be a priority for the government.

In the report, the bank claims that Pakistan’s gross external financing needs – the money required to meet foreign obligations, would be equal to 9% of gross domestic product (GDP). At the current estimated size of Pakistan’s economy, this translates to a whopping $31 billion.

The $31 billion foreign financing requirements are more than double Pakistan’s gross official foreign currency reserves of $13.8 billion.

The World Bank has worked out the nine per cent annual external financing requirements by including foreign portfolio investments, which is not a traditional method of working out the financing requirements. The bank estimated foreign portfolio investment at 4% of GDP, or $13.8 billion. The inclusion of foreign portfolio investments in the external financing requirements blows the problem out of proportion, said Dr Hafiz Pasha, a former federal finance minister and a well-respected fiscal expert.

He added that even the claim that foreign portfolio investments equalled 4% of GDP was also incorrect.

There is a consensus among the country’s leading independent economists that Pakistan’s external financing requirements will be close to $20 billion, or 5.8% of GDP during the current fiscal year.

World Bank response

World Bank Chief Economist for South Asia Martin Rama explained to The Express Tribune that the purpose of including foreign portfolio investment was only to highlight the problem. In 2016, Pakistan was in a very comfortable position when reserves were not only sufficient to cover the gross external financing needs of the country but even the entire stock of portfolio investments, Rama said in a written response.

He further stated that in 2017-18, the reserves are expected to be slightly below the sum of the current account deficit and scheduled debt repayments, creating an external financing need. “The stock of portfolio investments is not part of the financing needs of the country, but the figure is meant to highlight the importance of maintaining a solid reserve buffer going forward,” he explained.

This point, however, does not appear in the report, which may create unnecessary problems for Pakistan, which is already struggling to balance its external sector.

Since the IMF programme came to an end a year ago, external economic indicators have deteriorated. The current account deficit has doubled to 4% of GDP or $12.1 billion, which rang alarm bells.

Just last week, Pakistan’s federal cabinet announced a host of measures to correct the imbalances in the external sector that include offering more incentives to exporters and placing restrictions on previously unrestricted imports.

In its report, the World Bank said that new data for July and August showed that the deterioration of the external sector would continue. “Efforts to reverse the current imbalances and continued implementation of structural reforms will be needed for sustaining and accelerating growth and improving welfare,” said the bank.

It said that improving the external balance hinges upon a revival of exports, a slowdown in imports, and stable remittance flows. In the absence of any of these factors, the persistent current account deficit will put further pressure on already-dwindling reserves.

The fiscal position is also expected to deteriorate during the election cycle, which would affect debt trends and maintain debt at the around the already-high level of 68.2% of GDP, it added.

The bank also said that despite concerns about its weakening macroeconomic discipline, economic growth in Pakistan is expected to increase to 5.5% in the current fiscal year.

LAHORE: Continued negligence at the Pakistan International Airlines (PIA) towards essential flight requirements may cause disruption of operations to foreign destinations, as the carrier’s safety ratings have increased to a critical level.

The Safety Assessment of Foreign Aircraft (SAFA) programme was initially launched by the European Civil Aviation Conference in 1996. Under this programme, international safety standards have been enforced within the European community by means of ramp inspections (or “ramp checks”) on third-country aircraft landing at airports located in the EU member states.

“At a time when the national airline is already going through a crisis; along with low profitability, these kinds of issues will further destroy its image and could result in practical problems for the airline,” said an official. Image? What Image??? Images are HARAM IN ISLAMIC TERRORISTAN

As many as fourteen high-level officers of country’s premier intelligence agency, Inter-Services Intelligence (ISI) are scheduled to visit Pakistan Steel Mills (PSM) tomorrow (Wednesday) for a detailed briefing on technical aspects of the entity.

They might be learning how to sabotage Indian cotton industry., why else would an intelligence agency gets detailed briefing on clothing machines.

KARACHI: Gangster Uzair Baloch confessed to committing criminal activities in connivance with the Karachi police and political set-up in the province.He made these revelations in a confessional statement recorded before a judicial magistrate which was submitted before a two-judge bench of the Sindh High Court (SHC) during hearing of a case relating to missing persons.In his confessional statement, dated April 29, 2016, Uzair testified that he joined a gang led by Abdul Rehman alias Rehman Dakait in 2003 and was incarcerated in the Central Jail, Karachi where he was appointed incharge of the prisoners belonging to the Pakistan Peoples Party (PPP) on the recommendation of then jail superintendent Nusrat Mangan and PPP leader Faisal Raza Abedi. It may be a "conspiracy" to defame Ten Percenti, and the PPP !

In the statement available with The Express Tribune, Uzair disclosed that he assumed full-fledged command of the gang after Dakait was killed in an encounter in 2008 and formed an ‘armed terrorist’ group under the name of the Peoples Aman Committee (PAC) and became its chairperson.

He confessed to have collected Rs20 million extortion from different persons and departments every month, adding that the fisheries department would pay Rs2 million.He also disclosed that PPP MNA Faryal Talpur, sister of party co-chairperson Asif Ali Zardari, was given Rs10 million extortion every month. According to the alleged gangster, Dr Saeed Baloch and Nisar Morai were posted to the fisheries department on his recommendation.

Uzair testified that he fled to Iran by crossing the border with the help of Nasir Baloch, whom he had known as a businessman and agent of the Iranian intelligence agency, who frequently visited Karachi, particularly Lyari.

Nasir took him from the Pakistan-Iran border and later Uzair met Iranian intelligence agency officers and agreed to share sensitive information with them in return for complete protection.Uzair admitted to have shared with the Iranian spy agency the names of key officers of the armed forces in Karachi, Inter-Services Intelligence and Military Intelligence. Iran is a brotherly Ummah country. What is "wrong" in sharing intelligence with them

ISLAMABAD – Quaid-e-Azam University (QAU) administration has lodged an FIR against an army captain and 11 other students for allegedly trying to enter campus armed, and beating up a security guard last month, Express Tribune has reported.The army official, who has been identified as Captain Waqas in the FIR, was taken into custody by the Secretariat police on September 29, when the incident occurred, and later handed over to the Military Police (MP) along with a pistol seized from him.

The FIR states that the students were armed, they misbehaved with the security staff and ran away when the police showed up.

He said the captain, whom he identified as Captain Shahidzada, was a former student of the university and had come there to meet friends.

Mayor of London Sadiq Khan to visit Pakistan and India later this year to boost economic and cultural ties with London meeting top business figures from the IT industry to Bollywood, stated an announcement made on a government website on Tuesday.

The visit, the first by a British politician to both countries in recent times, will see the Mayor take in Mumbai, Delhi and Amritsar in India before visiting Lahore, Islamabad and Karachi. Sadiq will be accompanied by a delegation of UK business leaders and will meet with politicians, investors and entrepreneurs from across South Asia on the trip, which is aimed at strengthening trade and investment links as well as promoting cultural exchange.Indian companies invest more in the UK than in the rest of Europe combined, employing some 110,000 people in the country, while bilateral trade between the UK and Pakistan is valued at £2 billion.

Pakistan considers Sadiq as one of its own ( like Dilip, Raj Kapoor, Shahrukh etc etc etc )

PML-N's Capt Safdar lashes out against Ahmadis, faces backlash on social media

PML-N leader retired Captain Muhammad Safdar on Tuesday launched into a virulent tirade against Pakistan's persecuted Ahmadi community while speaking in the National Assembly. He accused the faith group of acting against the country's interests and called for action against its members. Is he distancing himself from the Ganja Party

"These people [Ahmadis] are a threat to this country, its Constitution and ideology. This situation is heading towards a dangerous point," said Safdar in his diatribe against the community. If the noose around Ganja and his family tightens, does he think that , just because, he makes these Anti Ahmedi statements, he will be spared

Calling for 'action' against the community, Safdar, a former military serviceman, said he wanted to bring a resolution in the National Assembly calling for a “ban on recruitment of Qadianis [Ahmadis] in the armed forces"."Because their’s is a false religion, in which there is no concept of jihad for Allah,” said Safdar, who continued his harangue against the community uninterrupted by other members of the House. If he "feels so strongly" against Ahmedis, why is he coming out with this now . Why did he not do this, when Ganja was PM !!!

Safdar and his wife Maryam are currently facing a trial in the National Accountably Bureau's court with regards to the Avenfield reference.On Oct 2, the accountability court had issued non-bailable arrest warrants against Safdar for failing to appear in court for hearings despite notices. Following this, he was taken into custody earlier this week by a NAB team minutes after his arrival in Islamabad from London. He was later released on bail after he submitted surety bonds worth Rs5 million. Looks like he may jump ship, save his own skin. But then what about his relationship with his wife

Safdar's comments in the assembly come only days after Interior Minister Ahsan Iqbal, also a member of the ruling PML-N, addressed the National Assembly and called for more restraint in using the term 'kafir'. "If we start handing out fatwas on kufr [cardinal sin] in every street and neighbourhood, and the maulvi in every street mosque starts handing out fatwas about who is kafir [an apostate] and who is Muslim, then [there will be chaos]. It is only up to God to decide who is going to heaven and hell — it is not our job," Ahsan had thundered, appealing to religious leaders and clerics.

The premature retirement of former Inter-Services Intelligence (ISI) chief Lt Gen Rizwan Akhtar echoed in the Senate on Tuesday as Senators raised question over the causes behind the sudden move.Rizwan Akhtar on Saturday requested for early retirement from Pakistan Army citing "pressing personal commitments".

JUI-F'sSenator Hafiz Hamdullah said was there any political party which could ask why a seasoned senior general opted for early retirement and what were the reasons behind this move.Without naming Rizwan Akhtar, he raised the question that why a senior general who had served on a crucial post in Karachi resigned from his post.He went on to say that no one will ask a question in this regard because all know that it might make "them" angry, putting their political career in jeopardy. . PML-N's Senator Saleem Zia said that people would be camping outside the residence of a minister had he or she resigned, but no one will ask a question if an army officer resigns. No one will even dare to pass by the residence of that officer.

Fellow B-RFites : This is a fantastic Idea. Now Modi Ji can build a Wall with Terroristan as also one with Bangladesh. I think we should start a "Poll" and get the support of our Fellow Indian Brothers and Sisters.

CHAMAN/QUETTA: Thousands of Pashtun tribal people who for decades ignored the invisible line that bisects their dusty villages and demarcates the Afghanistan-Pakistan frontier are bracing for a Berlin Wall-style divide of their neighbourhoods.

Pakistan, worried by Islamist attacks, is building a fence to prevent militants criss-crossing the porous 2,500km (1,500 mile) frontier along the disputed colonial-era Durand line drawn up by the British in 1893.

The fence, which Kabul opposes, will run down the middle of so-called "divided villages"+ where few people have passports and Pashtun tribal loyalty often trumps allegiance to the state.

Seven such villages are dotted around Chaman district, home to the bustling border-crossing town of Chaman in Pakistan's southwestern province of Baluchistan. Other divided villages are believed to exist further north in the restive Federally Administered Tribal Areas (FATA).

Pakistani officials in Baluchistan are now working on shifting Pakistani citizens in the divided villages to their side of the fence and say security worries override concerns that it will break up communities.

"(A border wall) was there in Germany, it is in Mexico. It is all over the world - why not in Afghanistan and Pakistan?" said Col Muhammad Usman, commander of Pakistan's Frontier Corps paramilitary force in Chaman.

"These tribals have to understand that this is Pakistan and that place is Afghanistan."

Yet scepticism about the fence abounds. Pakistan's previous attempts to build one failed about a decade ago and many doubt whether its possible to secure such a lengthy border.

The Trump effect

The appeal of erecting physical border barriers waned after the Berlin Wall was torn down in 1989. But in recent years, several populist leaders have advocated building walls to curtail movement of foreigners, most notably US President Donald Trump, who wants a wall along the entire border with Mexico.

Hungary's right-wing Prime Minister Viktor Orban recently fenced the border with Serbia to prevent Syrian refugees and other Muslim migrants from entering the eastern European country that acts as a gateway to the European Union.

Pakistan, in anticipation of the fence, plans to build more than 100 new border posts and Islamabad is recruiting in excess of 30,000 soldiers to man them, according to a senior military source.

"Trump is doing as per requirements of America; we are doing as per requirements of Pakistan," added Usman.

Tense relations between Afghanistan and Pakistan boiled over+ in two divided villages in May during Pakistan's census survey. More than 10 people were killed when Afghan border troops, objecting to the census, clashed with the Frontier Corps in Killi Jahangir and Killi Luqman villages near Chaman.

Kabul and Islamabad accuse each other of sheltering militants and providing safe havens for Islamist groups who carry out cross-border attacks.

Many residents in Killi Jahangir and Killi Luqman welcome the fence in the hope it will prevent bloodshed. But others are concerned it will hurt business and separate them from friends and family.

"There will no infiltration of terrorists or suspects from Afghan areas...but my own small business, which I was doing with Afghan people, will be affected," said Abdul Jabbar, a Pakistani owner of a small enterprise in Killi Jahangir.

Pakistani officials have long struggled to impose security in the Pashtun tribal heartland. The area stretches for hundreds of kilometres, including rugged mountainous terrain, and has been a hotbed of arms and heroin smuggling for decades. U.S drone strikes have also targeted militants from al Qaeda and other groups in the region.

For the likes of taxi driver Abdul Razzaq, 30, having peace of mind offsets the loss of business due to the fence."Now I can sleep in my home without any fear," he said.Terroristan, the International Provider of Taxi Drivers, has had full support from - yes you knew - a Terroristani Taxi Driver in the You Ess of A. Thus I am sure Terroristan will accept a "Wall" on our Common Border!

LAHORE: Pakistan’s premium ice cream brand, synonymous with chocolate and fashion hosted their annual big event of the year last night in Lahore: The Magnum Chocolate Party presented ‘A Chocolate Affair’.The affair took place on yesterday and brought to Pakistan, for the first time ever, the globally celebrated and award-winning chocolate artiste, chocolatier Paul Joachim, more popularly known as The Chocolate Genius.

In attendance for the evenings were superstars Ali Zafar and Shaan Shahid, Imran Qureshi and Aisha Khalid, artists extraordinaire; acclaimed musicians Jimmy Khan, Ali Hamza and Ali Sethi, emerging force DanyalZafar, fashion powerhouses Hassan Sheheryar Yasin, Maheen Kardar Ali and FaryalAftab of Muse, veteran actor Simi Raheal, and Ushna Shah.[quote]La-Whori Mullah not "invited" to the affair? Hope chocolate was not infused with the haram sharab ? Fatwa approved entertainment ? These questions should also have been clarified in the above

Interior Minister Ahsan Iqbal proceeded to the United States on a three-day official today, reported by Radio Pakistan. He will attend the annual meeting of the World Bank. Dar will fly the coop if allowed to attend, hence the substitute stand - in , who is US educated . The Minister will address a conference on Mutual Coordination in South Asia and deliver a lecture on Pakistan's strategy in the war against terror at Johns Hopkins University. Same old, same old bakwaas as Asif's . Hope that this time, he also does not "insult" his hosts !!!

Lahore High Court (LHC) summoned secretary interior to explain the matter of JuD Cheif Hafiz Saeed's detention case: on Oct 13.Today he was due but couldn't appear.Upon this, Justice Sayyed Mazahar Ali Akbar Naqvi ( on behalf of the Deep State ) expressed dismay, observing that "he (interior secretary) must be here in the courtroom on the next hearing".

Hafiz Saeed and his four aides have been facing detention since Jan 28. The govt has claimed that his release may create law and order situation. He made Milli Muslim League, a political party, while living behind the walls, it says.

The govt opposes his plea before the court. Hafiz Saeed says he was put behind the walls just on international pressure. The govt and its authorities couldn't come up with solid reason or evidence against him and his organization, he says through his counsel A. K Dogar. When will the farce of his detention, release, detention end

$ 40 billion will be received due to climate change plus $ 123 billion will be received from the world due to "terrorism losses" . After paying off $ 79 Billion for external debt, the Pakis will still be laughing all the way to the bank, with a surplus in hand of $ 74 Billion

HUSSAINIWALA (FEROZPUR): Narcotics smugglers from Pakistan have started using trained divers to cross the International Border (IB) into Indian Punjab, intelligence sources have said.

After the Border Security Force (BSF) stepped up its vigil, smugglers have started employing divers to navigate a 35km riverine area in Punjab's Ferozpur, Gurdaspur and Amritsar sectors of the IB. BSF had recently introduced unmanned aerial vehicles (UAV), laser walls and thermal imagers along with larger deployment of men along the border to squeeze out the drug supply.

BSF, which guards a 553km (518 km land and 33 km riverine) stretch of the IB along Punjab, has seized 729 kg narcotics (mostly heroin) worth hundreds of crores in the past three years.

The highest recovery of 340 kg was made from Ferozpur sector. The new method to pump drugs into the state was discovered during the interrogation of a peddler, who said his consignment was delivered to him by a diver.

Intelligence officers said specially trained divers, equipped with complete gear, were using Satluj and Ravi rivers to enter Punjab. These divers reportedly carry trans-border communication through WhatsApp. "We are using various methods, including technology, to seal the unfenced riverine gaps, but scuba divers are proving to be a real challenge," said a senior BSF officer of Ferozpur sector, adding that the divers seem to be using re-breathers to stop bubbles from surfacing.{Must be ex-Navy}

BSF jawans confirmed that a detailed report about the new method has been sent to senior officers. They have also found that smugglers are using gullible farmers from the Indian side as couriers. Several such farmers were caught with narcotics hidden in their agriculture tools recently. J K Virdi, commandant of 105-Battalion of BSF that looks after Hussainiwala border in Ferozpur, said that drug smuggling in this area is being addressed effectively by the Indian troops.

The Pakistani legal motion filed by Alvi states: “A few months ago I got apprised of the fact that my husband has contracted second marriage secretly, fraudulently and without my consent with Mst. Sumaira Shehzadi Alias Sumaira Siddique Daughter of Muhammad Akram r/o Township, Lahore. The second marriage of my husband is illegal, unlawful and without justification.”“The court has recorded the testimonies of the applicant and other witnesses,” the Pakistani news outlet ARY reported.

Last month, TheDCNF published police reports showing that two women who appeared to be in romantic relationships with Awan, but who were not Alvi, called the police on him in Virginia. One, Salam Chaudry, said she “just wanted to leave,” while the second was named Sumaira Siddique.

Criminal investigations involving Siddique and Awan in Virginia took place on Oct. 16, 2015 into assault, and Nov. 16, 2015 into telephone threats. Siddique called them again on July 18, 2016 and said he kept her there “like a slave.” Alvi’s lawsuit says he only married Siddique in August 2015.

komal wrote:Thank you for pointing this out. Col lmam was apparently given his piece of the Berlin Wall at the WH by none other than President Bush the Senior.

This is something that has been excised from USA history as we are taught that the USA has always been at war with Islamic Fundamentalism.

May be OT here. But, from supporting Banna's Muslim Brotherhood, through the Afghan jihad, to hobnobbing with the Taliban, propping up West Asian salafism, winking at Pakistani jihadism to the IS of today, the various US administrations have supported Islamist Extremism at various stages. The PotUS gifting of a piece of the Berlin Wall is incidental to its major engagement.

Kulbhushan Jadhav case: Former CJP Tassaduq Jilani appointed as ad-hoc judge at ICJ

The government has appointed former Chief Justice of Pakistan Tassaduq Jilani as ad-hoc judge at the International Court of Justice (ICJ) to defend Pakistan’s side in the Kulbhushan Jadhav case.

Justice Jillani is a cousin of former foreign secretary Jalil Abbas Jilani.

He also authored the Supreme Court’s judicial anthem and was among those SC judges who had refused to take oath under the PCO on November 3, 2007.

From wiki:

Jillani is the son of Muhammad Ramzan Shah Jillani.[1] He is married to Khalida Jillani, and they have three sons and a daughter.[10] Jillani is the uncle of the current Pakistan ambassador to the United States Jalil Jilani, and a distant relation to former Prime Minister Yusuf Raza Gilani.

FIFA has decided to suspend the Pakistan Football Federation (PFF) on account of undue third-party interference

Following its suspension, the PFF loses all its membership rights as defined in Article 13 of the FIFA Statutes. The PFF representative and club teams are no longer entitled to take part in international competitions until the suspension is lifted.

Students in South Punjab led a demonstration to protest unfair marking in Central Superior Services [CSS] examination by the Federal Public Service Commission [FPSC] on Wednesday. Hailing from various sub-districts including Khanewal, Vehari, Multan, Layyah and Bahawalnagar, the students demanded rechecking of exam papers while shouting slogans against the government for tolerating corrupt practices in the education system.

Held in February this year, results for the CSS were announced on October 5 while the detailed mark sheets of failed candidates were uploaded on the FPSC website on Monday. Only 312 out of 9,301 candidates pass CSS exams

The candidates further complained that despite having cleared exams for other government jobs including competitive exam of Provincial Management System [PMS], they were back to square one due to the CSS result.

Tuba Hamid, who attempted the CSS exams this year, insisted she attempted the paper well but was only awarded 48 marks out of 1200. Another candidate, Zarmeena Iqbal alleged that the results were forged. “We do not accept this,” she told The Express Tribune. Zarmeena claimed her record proved she had passed PMS earlier but was not allocated due to lack of seats. “How can a person who has cleared PMS and other tests fail by four subjects this time?” she asked.

Other students said they were victims of irregularities in the marking procedure, urging the anti-corruption department in Lahore to take legal action. Javeria Waseem, a candidate, claimed to know many who “passed after paying bribe.”

The national flag-carrier’s flight PK-755, carrying approximately 300 passengers, took off from Sialkot at 6am in the morning and was scheduled to land in the Saudi capital of Riyadh at 8am.

As per flightradar24, the aircraft was an A320 which has a maximum seating capacity of around 190 passengers. So if they had 300 passengers on board (I assume these were humans, not goats in the cargo hold), clearly they had a technical issue of overloading

Of course it's slipshod reporting but always fun to have fun at Paki expense.

ISLAMABAD – COAS General Qamar Bajwa has for the first time raised serious concerns over the economic conditions of the country and especially the rising debt of Pakistan.

He said it is high time that economic growth and sustainability was placed at highest priority.

“Growth has picked up but the debts are sky high. Infrastructure and energy have improved considerably but the current account balance is not in our favour,” he told the audience at the seminar on ‘Interplay of Economy and Security’ held in Karachi on Wednesday.

The COAS said the country’s tax to GDP ratio is abysmally low, which “needs to change if we are to break the begging bowl”, adding that economy remains “one of our highest concerns during National Security Council meetings”.

According to the finance ministry, each Pakistani owes Rs95,000 in debt with the country’s foreign debt and liabilities standing at $58 billion – around Rs6.11 trillion.

“In order to secure our future, we must be ready to take difficult decisions,” he said. “We have to increase our tax base, bring in fiscal discipline and ensure continuity of economic policies.”

Regarding the continuing security operation in Karachi, the army chief said when Pakistan’s enemies want to “choke Pakistan, they try to destabilise Karachi”.

“It is because of this sensitivity, that peace in Karachi has been our top priority,” he said. “We have worked very hard to restore peace and now hope that economic activity would return at a fast pace.”

He also spoke on external security and the need to pursue the National Action Plan, which was initiated after the 2014 Peshawar attack.

He appreciated the security for improvement in the country’s security environment.